698 technology circle windsor, colorado technology · the property is located in windsor, colorado,...
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698TECHNOLOGY C
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698 Technology Circle Windsor, Colorado
PAGE 1
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
SINGLE-TENANT TRIPLE NET INVESTMENT OPPORTUNITYTo be leased by the world’s largest equipment rental company
http://downtownsuperior.com/
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The Team PAGE 11
TABLE OF CONTENTS
Executive Summary PAGE 3
Tenant Information PAGE 8
Financial Information PAGE 9
Property Description PAGE 4
United Rentals PAGE 7
TABLE OF CONTENTS698 Technology Circle Windsor, Colorado
PAGE 2
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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Cushman & Wakefield, along with URealty and Schuman Companies, Inc, is pleased to present this outstanding opportunity to acquire a 11,400 square foot single-tenant, triple net lease, industrial facility situated on approximately 1.4 acres of land in the heart of Northern Colorado.
The Property is located in Windsor, Colorado, centrally located for access to both I-25 & Highway 85. Windsor is one of the fastest growing communities in Northern Colorado and is adjacent to Fort Collins Colorado, home of Colorado State University and Greeley Colorado, home of University of Northern Colorado.
The Property has been newly built, with completion of construction in November of 2017. A lease has been recently executed with a national credit tenant in United Rentals, the largest equipment rental company in the world. This is a 5 year NNN lease, with options to extend for a term of 15 years in total. 698 Technology Circle serves as an anchor for the industrial growth taking place in Northern Colorado and is strategically positioned to serve Northern Colorado communities.
698 Technology Circle / Windsor, Colorado
Net Leasable Area 11,400 SF
Occupancy 100%
Year Built 2017
Site Area 1.4
Zoning I-L
Asking Price $2,250,000
Lease Type Triple Net (NNN)
NOI $142,500
Cap Rate 6.30%
OFFERING SUMMARY
EXECUTIVE SUMMARY698 Technology Circle Windsor, Colorado
PAGE 3
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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698TECHNOLOGY C
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Ro
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ins
Fro
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Ra
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270
70
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25
25
25
76
225
North
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34
34
392
14
14
6
285
287
287
6
36
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85
85
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119
30
4093
E470
E470
C470
Castle Rock
Parker
Greenwood Village
Golden
Commerce City
Federal Heights
BrightonLouisville
Superior
Lafayette
Erie
Bennett
Lone Tree
Highlands Ranch
Morrison
Evergreen Littleton
Sheridan Englewood
Wheat Ridge
Edgewater
Northglenn
Broomfield
Glendale
Arvada
WestminsterThornton
Boulder
FORT COLLINS
LOVELAND
Lakewood
Centennial
Aurora
Castle Pines
GREELEY
Longmont
Denver
Denver International
Airport
N
LOCATIONThis Property is located in the heart of Northern Colorado. Situated off of Highway 392 and Highway 257, the asset is at the center of the industrial market in Northern Colorado. The Property is in close proximity to the Crossroads Development in Loveland, the expanding Budweiser Event Center, as well as the newly approved Rocky Mountain Sports complex. Windsor is the fastest growing metro area within the booming Northern Colorado community.
57 Minutes via I-25N
1 Hour, 3 Minutes via I-25 S
23 Minutes via W. 4th St.26 Minutes
via US-34 W
WINDSOR
30 Minutes via CO 257 N and CO-14 W
CHEYENNE, WYOMING
SUBJECT
PROPERTY DESCRIPTION698 Technology Circle Windsor, Colorado
PAGE 4
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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BUILDING SPECIFICATIONSADDRESS698 Technology Circle Windsor, Colorado 80525
YEAR BUILT2017
COUNTYLarimer
ZONINGIndustrial Limited
ACCESSAccess to the property is via East Garden Drive with easy turn lanes from east bound or west bound traffic.
PARKINGAmple Parking
LAYOUTSingle Story
INDUSTRIAL CLASSClass A
PROPERTY DESCRIPTION698 Technology Circle Windsor, Colorado
PAGE 5
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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698TECHNOLOGY C
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L
L
A4.1
1
A4.1
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FUTURE RESTROOM CORE
140'
-0"
15'-8"
20'-0
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'-0"
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"20
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20'-0
"20
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20'-0
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20'-0" 20'-0" 20'-0" 2'-0 1/2" 12'-11 1/2" 20'-0" 15'-0" 1'-0" 3'-0" 1'-0"
TYP
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5'-4 3/4"
3'-11 7/16"
5'-7 13/16" 20'-0" 5'-4 3/4"
3'-11 7/16"
5'-7 13/16"
5'-4 3/4"3'-11 7/16"5'-7 13/16" 8'-4" 3'-4" 8'-4" 5'-4 3/4"
3'-11 7/16"5'-7 13/16"
3'-4" 4'-0"
4'-0" 3'-4"
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8"
3'-1
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8"
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6'-2
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103
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1
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P3AP3AP3A
FIRE RISER103
FE
TYP1'-0"
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TYP
1'-0
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TYP
1'-0
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6
A5.0
A.1
A.1
B
B
100
4" TRENCH DRAINRE: PLUMB, TYP
TENANTSPACE102
TENANTSPACE101
FUTURELOBBY100
SYSTEM NOTES
INTERIOR WALLSP3 - 3 5/8" METAL STUD FRAMING (25 GA.) AT 16" O.C.
INTERIOR PARTITION SUFFIXESA - STANDARD WALL, 1x LAYER GYP. BD. ON EACH SIDE OF STUD FRAMING.TERMINATE FRAMING TO THE UNDERSIDE OF STRUCTURE.
INTERIOR NOTES1 - ALL WALLS ARE P3-A UNLESS NOTED OTHERWISE
2 - ALL DIMENSIONS ARE TO GRID LINES, FACE OF STUD FRAMINGUNLESS NOTED OTHERWISE.
EXTERIOR WALLSW1 - MANUFACTURED STONE VENEER TO ELEV. 103'-9"
- MANUFACTURED STONE SILL
W2 - 8" PEMB WALL SYSTEM- VERTICAL METAL PANEL SIDING- SIMPLE SAVER SYSTEM R-30 WALL ASSEMBLY- COLOR - SADDLE TAN
125 East 5th Street, Loveland, Colorado 80537
ARCHITECTS, LLCfusionin
Issued For SD:
Plot Date:
Issued For DD:
Issued For Permit:
Issued For Construction:
01/10/2017
01/20/2017
01/01/2017
Seal:
1/24/2017 11:16:09 AM
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DESIGN PHASE
NORTH 1/8" = 1'-0" [RE: 1 / A4.1]A1.1
16 FIRST FLOOR PLAN
Revision Number Revision Date
ALL DASHED WALLS AND OBJECTS ARE DASHED AS EXAMPLES FOR FUTURE TENANT FINISH BUILD OUTS
NFLOOR PLAN
PROPERTY DESCRIPTION698 Technology Circle Windsor, Colorado
PAGE 6
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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MISSION & VALUESBuilding a better future is our commitment to the people and communities we serve.
Founded in 1997, United Rentals has become the world’s largest equipment rental provider, with an integrated network of 880+ rental locations in 49 states and 10 Canadian provinces, and $8.44 billion OEC of rental fleet including 3,300 classes of equipment.
OUR CUSTOMERSOur diverse customer base includes construction and industrial companies, utilities, municipalities, government agencies and independent contractors. Most of our customers align with three categories: approximately 50% are non-construction, such as industrial; 46% are non-residential construction; and 4% are residential. We provide every customer with access to the best people, equipment and solutions in the industry.
UNITED RENTALS698 Technology Circle Windsor, Colorado
PAGE 7
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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698TECHNOLOGY C
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TENANTUnited Rentals
RENTABLE AREA11,400
LEASE TERM60 Month - Two 60 month options
OPERATING EXPENSESTenant is responsible for all Operating Expenses including outside maintenance, taxes, utilities, and insurance.
RENTAL SCHEDULE
Dates Rate Annual Rent
March 1, 2018 February 28, 2019 $12.50 $142,500.00
March 1, 2019 February 29, 2020 $12.88 $146,775.00
March 1, 2020 February 28, 2021 $13.50 $153,900.00
March 1, 2021 February 28, 2022 $13.91 $158,517.00
March 1, 2022 February 28, 2023 $14.50 $165,300.00
TENANT INFORMATION698 Technology Circle Windsor, Colorado
PAGE 8
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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698TECHNOLOGY C
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10-YEAR CASH FLOWCONFIDENTIAL
2,250,000$ CAP Rate 6.33%
LOAN AMOUNT: 1,687,500.00$EQUITY $: 562,500.00$EQUITY %: 25.00%TERM (YRS): 20INTEREST RATE: 4.50%
SIZE: CURRENT RATE: ESCALATOR: 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
11,400 12.50$ 3.0% 142,500 146,775 151,178 155,714 160,385 165,197 170,152 175,257 180,515 185,930NNN Income 11,400 3.00$ 2.0% 34,200 34,884 35,582 36,293 37,019 37,760 38,515 39,285 40,071 40,872
11,400176,700 181,659 186,760 192,007 197,404 202,956 208,667 214,542 220,585 226,802
Less Vacancy: 0.00% 0 0 0 0 0 0 0 0 0 0
176,700 181,659 186,760 192,007 197,404 202,956 208,667 214,542 220,585 226,802
Taxes: 2.00$ 2.00% 22,800 23,256 23,721 24,196 24,679 25,173 25,677 26,190 26,714 27,248Insurance: 0.30$ 2.00% 3,420 3,488 3,558 3,629 3,702 3,776 3,851 3,929 4,007 4,087CAM 0.50$ 2.00% 5,700 5,814 5,930 6,049 6,170 6,293 6,419 6,548 6,678 6,812Reserves 0.20$ 2.00% 2,280 2,326 2,372 2,420 2,468 2,517 2,568 2,619 2,671 2,725Total Operating Expenses: 3.00$ 34,200 34,884 35,582 36,293 37,019 37,760 38,515 39,285 40,071 40,872
142,500 146,775 151,178 155,714 160,385 165,197 170,152 175,257 180,515 185,930
CAP = 6.00% 2,375,000 2,446,250 2,519,638 2,595,227 2,673,083 2,753,276 2,835,874 2,920,950 3,008,579 3,098,836208.33 214.58 221.02 227.65 234.48 241.52 248.76 256.22 263.91 271.83
ANNUAL DEBT SERVICE:PRINCIPAL 53,264 55,711 58,270 60,947 63,747 66,675 69,738 72,942 76,293 79,798INTEREST 74,848 72,401 69,842 67,165 64,365 61,436 58,373 55,169 51,819 48,314 TOTAL DEBT SERVICE (ANNUAL): 128,111 128,111 128,111 128,111 128,111 128,111 128,111 128,111 128,111 128,111
DEBT SERVICE COVERAGE RATIO: 1.11 1.15 1.18 1.22 1.25 1.29 1.33 1.37 1.41 1.45LOAN TO VALUE RATIO: 71.1% 66.8% 62.6% 58.6% 54.6% 50.7% 46.9% 43.1% 39.4% 35.8%
NET CASH FLOW: 14,389 18,664 23,067 27,602 32,274 37,085 42,041 47,146 52,403 57,819
CASH ON CASH ROI 2.56% 3.32% 4.10% 4.91% 5.74% 6.59% 7.47% 8.38% 9.32% 10.28%LEVERAGED ROI 12.03% 13.22% 14.46% 15.74% 17.07% 18.45% 19.87% 21.35% 22.88% 24.47%
CASH FLOW + PRINCIPAL EQUITY GAIN: 67,652 74,374 81,337 88,549 96,020 103,760 111,779 120,088 128,696 137,617
BUILDING VALUE (SALE): CAP = 6.00% 2,446,250 2,519,638 2,595,227 2,673,083 2,753,276 2,835,874 2,920,950 3,008,579 3,098,836 3,191,801LESS PURCHASE PRICE: -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000 -2,250,000LESS SELLING EXPENSES: COMM. % 3.00% -73,388 -75,589 -77,857 -80,193 -82,598 -85,076 -87,629 -90,257 -92,965 -95,754ESTIMATED GAIN ON SALE OF BLDG IF SOLD: 122,863 194,048 267,370 342,891 420,678 500,798 583,322 668,322 755,871 846,047
NET CUMULATIVE GAIN IF SOLD (CASH + PRIN): 120,916 130,085 139,607 149,496 159,767 170,435 181,517 193,030 204,989 217,414IRR (IF SOLD): 33.9% 22.8% 19.3% 17.4% 16.3% 15.6% 15.0% 14.6% 14.2% 13.9%
BUILDING VALUATION:VALUE PER SQ. FT.:
NET OPERATING INCOME (NOI):
GROSS OPERATING INCOME:
TOAL SQ. FT.POTENTIAL RENTAL INCOME:
United Rentals
Less Operating Expenses:
CASH FLOW ANALYSIS
PURCHASE PRICE
FINANCING:
TENANT:
FINANCIAL INFORMATION698 Technology Circle Windsor, Colorado
PAGE 9
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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GENERAL ASSUMPTIONS DEBT FINANCING GENERAL PARAMETERS
RESALE
Start DateMarch 1, 2018
Analysis Period10 Years
Rentable Building Area11,400 SF
Future Base Rent Escalation3%
SourceNew Financing
Loan to Value75%
Amortization20 years
Interest Rate4.5%
Loan Fee1%
Operating ExpensesOperating expenses are shown as NNN reimbursable income although tenant pays all expenses directly.
MethodologyThis cash flow projection has been developed on a ten year basis using assumption as outlined above. The projection implements a probability weighted analysis at the time of closing triggering a new ten year lease and will estimate future income and expense levels.
Projection PeriodThis analysis begins the first month from the closing date and projects future income on a fiscal year basis for ten (10) years. All dollar amounts used are based on year 2017 actual expenses. Market leasing assumptions escalate on a calendar year basis and inflation is calculated
on a calendar year basis.
Capitalization Rate7%
Sales Commission3%
Lease Term5 Years – Two 5 Year Options
Renewal Probability90%
General Vacancy0%
FINANCIAL INFORMATION698 Technology Circle Windsor, Colorado
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Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
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698TECHNOLOGY C
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Travis Ackerman is a Director at Cushman & Wakefield and he is one of the most active industrial brokers in Northern Colorado. Travis’ team is active in all aspects of commercial real estate whether it be industrial, retail, office, multi-family or land. As a result, they are able to provide insight and advisory services on all facets of the Northern Colorado Market.
Matt Haskell was born and raised in Fort Collins. As a serial entrepreneur, Matt has founded several real estate related companies and has always had a passion for new ventures. His creativity, innovation, and unique approach in every deal are what have set him apart over the years. Matt has dedicated nearly two decades to this industry in Northern Colorado and prides himself on his detailed understanding of the regional markets.
Alex Schuman is a Senior Partner and he oversees the Real Estate Investment Advisory group for Shuman Companies. He has been involved in Northern Colorado real estate and construction management for 10 years. Alex is talented in identifying opportunities, forming and fostering relationships with investors and clients alike, as well as leading the company with direction and leadership. As a licensed Managing Broker in Colorado, Alex provides brokerage services for acquiring new opportunities as well as acting listing agent for PJL Schuman’s model homes.
Travis AckermanDirector / Cushman & Wakefield+1 970 267 [email protected]
772 Whalers Way, Suite 200 Fort Collins, Colorado 80525 T +1 970 776 3900 | F +1 970 267 7419 cushmanwakefield.com
Alex SchumanBroker / Schuman Companies+1 970 219 [email protected]
605 S. College Avenue Fort Collins, Colorado 80525 T +1 970 219 1493 schumanco.com
Matt HaskellOwner / U RealtyM +1 970 690 1690 / O +1 970 229 [email protected]
2350 E. Harmony Road, #103 Fort Collins, Colorado 80528 T +1 970 305 5130
THE TEAM698 Technology Circle Windsor, Colorado
PAGE 11
Executive SummaryPAGE 3
Property DescriptionPAGE 4-6
United RentalsPAGE 7
Tenant InformationPAGE 8
Financial InformationPAGE 9-10
The TeamPAGE 11
mailto:travis.ackerman%40cushwake.com?subject=http://cushmanwakefield.com mailto:[email protected]://schumanco.com mailto:[email protected]
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